Loans:
Eligibility
United Methodist Student Loan Disclosure Information
- Borrower must be an active, full member of a United Methodist Church for at least one year prior to application.
- Borrower must be at least 18 to complete the application process.
- Borrower must be enrolled in an accredited school at least half-time.
- Borrower must have a cosigner for this loan. The cosigner will be contacted and required to complete a portion to the application.
- Cosigner will be required to provide proof of income, and if the borrower is currently employed, proof of income will be required as well. Acceptable documents for proof of income are your last pay stub, W2, or tax return.
- Borrower must comply with all requirements to include: all loan funds must be certified by your institution before funds are released to the school. No exceptions.
- Students may borrow up to $10,000 per calendar year for a maximum total loan of $40,000
- The maximum repayment term for all loans is 120 monthly payments (10 years). Both borrower and cosigner must maintain a good credit history and give permission for their credit to be reviewed.
- Loans are granted on a first-come, first served basis, until all funds are exhausted.
- Simple interest (non-capitalized) is applied to the annual percentage rate from the choices below. This means interest is charged on the principal portion only and not compounded on top of existing interest.
- On deferred loans, all payments are applied first to accrued interest until it is satisfied and then to the loan principal.
- Option A - 5% Fixed Interest Loan with deferred payment
- Option B - 4% Fixed Interest Loan with deferred payment (for students attending UM Schools ONLY)
- Option C – 3.75% Fixed Smart Student Loan with payment beginning within the month after the loan disbursement
United Methodist Student Loan Disclosure Information